In the Nigerian real estate industry, Land excision is one of the common languages you hear from brokers/agents. But to a layman, this may be difficult to understand. To simplify the meaning, excision means a portion of land that the government released to the Indigenous settlers or the original inhabitants of the community.
When they say the land is an excised land, it means that the land is legally free from government acquisition.
First-time property buyers should always ask proper questions from / her trusted and knowledgeable real estate consultants when buying excised land in Lagos, or any sensitive real estate business region in Nigeria.
Note this about Land Excision
Table of Contents
Excision is not a Title document, and never let anyone mislead you that excision is a Title document. Excision can only be considered as a title until a C of O is obtained on it, otherwise, it is to be kept in view upon completion of the C of O.
What about Excision in Process?
Excision in Process means that the land is still in the process of being released to the original owner or settlers of the community, families, or real estate development firms in charge of the subject land.
A Land with Excision in Process clause remains under government acquisition until it is fully excised and gazetted by the government.
Please Note:
As far as Excision in Process is concerned, no title is vested from the government to anyone until an application for excision is approved, granted and gazetted.
The government reserves the discretion to grant all or less than the portion of land applied for by the indigenous owners or to refuse the application altogether.
Issues with Lands with “Excision in Process “
As a common practice in Lagos, many real estate development companies engage in Land Banking activities by buying land from indigenous communities or families and then applying to the government for the said portion of Land to be Excised and Gazetted. In the process of this application and processing, they begin to promote, market and sell the land to risk-takers and people who have no idea of what excision means or involves.
The main challenge with these acts of real estate development companies is that the government reserves the discretion to grant all or less than the portion of the land applied for by the developer or to refuse the application altogether.
Since the land has an Excision in Process clause, the developer does not have any legal title to enable him to transfer a valid title to the purchaser and as a result, the purchaser may end up losing his investment or the purchase price for the land not excised, especially when the government is ready to take a legal or development activities on the land.
Final Remarks
To reduce your risk of losing out completely when purchasing land with the “Excision in Process” clause please always do your due diligence and patronize reputable real estate development companies.
Also, let the company (the developer) assure you in the form of writing that should incase Excision is not secured on the land in question, you will refund all monies paid or be allocated another parcel of land with a good title.
Learning Review
If you buy land with Excision in Process, you do not have a title document for your land, and you cannot process your Title Document with the “Excision in Process” clause.
So when a real estate marketer/developer tells you that the Title on the land to be sold is “Excision in Process”, please walk away or do your proper due diligence.
Make sure you conduct a background check using a reputable real estate consultant/development expert before you conclude any land transaction with the ” Excision in Process” clause.
Disclaimer;
The contents of this article are for informational purposes only. Always do your research before you take any real estate advice.
Post Note:
Should you need any advice or development support, we’re here and happy to help; Ibugbe and Partners, a Real Estate Marketing and Development Consulting Firm in Lagos, Nigeria.
Special thanks to Ibugbe and Partners for making this educational piece possible.
ABOUT THE WRITER:
I am Bolaji Afolabi. I created bolajiafolabi.com to teach you about real estate and tech-based business opportunities. I work as a full-time partner at Globalclique, a Real Estate + Technology Consulting Company. I am also a CIO at Ibugbe and Partners, a Real Estate Marketing and Development Consulting Firm in Lagos, Nigeria.
Author Profile
- I am Bolaji Afolabi, a Partner at Globalclique, and a CIO @ Ibugbe and Partners - Pan African Real Estate + Technology + HR Consulting Group. Bolaji is celebrated for his expertise in seamlessly blending human capital with cutting-edge technologies, and also providing professional advisory services.
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